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tv   Cavuto  FOX Business  February 27, 2014 6:00pm-7:01pm EST

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♪ double mocha. neil: 1.6 million cars. thirty-three crashes are the her teen deaths. welcome, everyone, i am neil cavuto. those are the major numbers. here is the most tragic one. that is how long gm has known about a switch problem in the chevy cobalt. ssrious enough to cut power to all safety systems including airbags. even before that, jim engineers were concerned about potential fatalities from this.
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but only now is gm addressing this. it is taking them and in a second to jump all over toyota. so what do you think treo.with grief? maybe because we look the other way once one of our own for one of our union owned legislator one of our endangered. maybe because they would later need rescuing and toyota would just be needing a tongue lashing. for years gm got away with what look like murder. thirty-five dollars for it is missing a problem that could have killed her teen people. former national transportation safety had it that this is an only tragic but it's criminal. and no one ever intends to kill
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people. that's never the intent. the clearly dragging its feet and addressing something that clearly was raises some culpability issues here. >> oh, absolutely. gm delayed for almost 10 years and doing it recall. it's hard to believe that they could do this for that long because they were in conversation with the national highway traffic safety and ration. way back in 2007 when the agency brought to their attention the debt that was caused by a failure of the syrian breaks and then even from 2007 to 2014, general motors did not. neil: it's always easy in some ways, this is 10 years after
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that. and tenures which we were getting more indications from gm engineers. do you have any way to explain the difference in treatment that gm is getting now versus what toyota instantly got? >> i don't think there is that much difference. a careful crash occurred, people were begging for help. and that's when the national press acted up and toyota got sunk as it should have. neil: you are quite right about that. but i do remember that there was a great deal for federal hearings and the like and i wonder whether that ekes to a double standard or to two different issues here. >> i think this is a terrible defect and i think it's
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outrageous the general motors of them do this recall. back in 2007 at the latest. but i don't think it's played out yet. i think there will be congressional hearings. i think the general motors is going to get as large as the can. the national highway traffic safety administration has not had this when they raise the penalty from 17 to 35 million. general motors could use that as a defense to avoid getting that higher penalty. this penalty is too low and it should be in the 200 million-dollar range and i hope the congress will finally raise it with the new legislation that will be coming up so that they really get a serious tone to you.
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>> you are right. >> we haven't seen this completely play out yet. and also the new president of general motors was had all of the product development and is overseeing quality control. yet as far as i know she did nothing and she is not the one who apologized. it was a person on earth who apologized to the american public. neil: in the meantime, dealers like him i left with the type of cars that he is selling. and oftentimes that is not fair. so do you think that all of the problems that gm is having beers later contributed to going slow on this investigatiin?
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i think that was a part of it. i think the government being involved was part of another government we and it was formed to cover this. to try to take care of this. it didn't happen. >> when you asked about this five or six years ago, this was well out there. in the last thing you want to do is get bad press. >> correct. there's too much bureaucracy. the word didn't get out to the public the way it should have.
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>> we did reach out to general motors to see if they would come out. saying that ensuring our customer safety is our first order of business. we are deeply sorry and working to address this issue as quickly as we can. as a guy who sells these cars even though it has nothing to do with what happened here, do people say that you know, i'm going to go slow on this? >> of course it's going to. my concern was how fast were they going to react to this. and they did give us a high level of comfort telling us exactly what to do when a customer comes in. and that includes vehicles that are in question. neil: did any of you go back.
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>> there has been any discussion about that. everything's been focused on customer safety to get this going on. and we have this with the dealerships. and now it's just opened up and it's been 10 years. it's interesting that we can could talk about this import to six weeks. >> a man whose daughter waa killed in one of these back in 2010 and now he's teaming and demanding answers and he is here and only here tomorrow. and have you ever asked yourself
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neil: we are getting you asking this. what is the deal. well, exactly. we have made a segment out of it. a lot of you just can't stop talking about it. your chance to get something off your chest about the show, the guest, and me. e-mail us or send us a tweet. at the end of the show don'' eat surprised if you hear me responding to you that night. consider thess comments over whether i talk too much on the show. i never heard you interrupt so much. we already have an o'reilly. so please don't interrupt every guest that you have. and finally this, i'm done with you until you learn to shut up. and at the end of the show i'm
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going to let you take over. meanwhile, do you need proof that terser plotting the next attack? their gambling online to wander the money they might use for the next attack on the mexican issue. how is it that we know what they are doing with this? >> the fbi has made it plain in a letter to congressional leaders that online gambling is something that they do not believe that they can control. >> when you have online gaming the way that it exists now in a handful of states, you cannot monitor or control it despite the efforts to do it. and we know that the terrace love to get resources here and
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this is the way they can do it. >> the money is crucial. >> thatts right. because we have tried very hard to trace funds that come from suspect organizations. and it's virtually impossible to regulate that according to the fbi. because of that there is no way to tell who the source of those funds are and where they are going and it poses a risk for us as we know. the world is not a safe place. neil: to require more snooping. >> what i'm advocating is going back to what the law was from over a decade until the obama and vision and the justice department unilaterally changed it. congress passed and president signed it the wire act, making it illegal to have interstate
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gambling. what happened was for over a decade it was interpreted as the control of gambling like this. and states can do online gambling in a few states have taken about. that's what prompted the fbi to do that we can monitor this. this poses criminality and terrorism and we just can't control. neil: talking about this. he said that andrew cuomo as a good future in that he's a good guy. would you think about? >> the viability of a two-party system in states like new york is absolutely essential. and when you have them saying that he's a democrat but not as bad as the other democrat, to me it's very disappointing.
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you need an intelligent debate and someone who has the resources and the ability to end up in a you've done this and i don't think it's a very good thing. >> you look at new york city. you have a one-party situation and we ended up with the mayor that think that it's way to the left of what they believe is right for this city. >> 70% of them voted it and had a very low turnout. >> then you have a viable two-party system in this city. we need a viable two-party wisdom in this state. i worked very hard to try to achieve it and i hope that we have a strong ticket this year. and we know it is an uphill fight. neil: thank you very much. in the meantime, new food labels are on the way. tens of millions of dollars that
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we are spending too simply have them gg away. and a lot of you can't wait to get your hands on a pair. once you do, you could get arrested after putting them on. predicting the future is a pretty difficult thing to . but, manufacturing in the united states means advanced technology. we learned that technology alallows us to be craft orient.
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no one's losing their job. there's no beer robot that has suddenly chased them out. the technology is actually creating new jobs. siemens designed and built the right tools anand resources to get the job done.
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neil: we told you about their revamping the nutrition labels the fda released a new label guidelines today. now take a look at a new one.
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this is what you're going to make businesses pay up for. >> is a lot larger. i consider myself pretty health-conscious. >> you basically want to read this. i think the government should be helpful with that kind of thing. i don't think it's coercive. you can e-mail us on the show here. but in the meantime, the band plays on. and google is fighting. the but they are also fighting
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an uphill battle. many say google shouldn't be fighting the battle. or better, they are an easy target? >> yes, they are. reality is that you can do anything while you're driving but you're not allowed to. that way there are restrictions on using grasses are not wearing them. >> you might keep them on the night of your stock or pullover, you can click them. but it doesn't mean that you are using it inappropriately while you're driving. >> and ttey look like they have
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a star trek and spock thing going on. so what do you think of the and whether google has a heap of legal problems? >> i think that we are just at the beginning stages. and we will have the into the car. and you will see there's a guy out there that created this concept to go in a car in the wings will be on the. neil: they are already a part of this. >> they have us in the car and then they using e.g. locating content for marketing and all of us. >> the same way that the cell phone is when you're in a bar and there is a reporter attached
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for what people thought they have a video way. you can video the entire thing. >> you go to yankee stadium and you can bring your iphone and. so i always think that that is crazy. but we do have that double standard. where do you think this is going? >> today it is problematic and you try to do something with it. that is the privacy concept and borrowers do have a right.
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they started taking pictures and snapshot. neil: what the glasses show is how can you walk when you have seen all this stuff? >> you can click that on a not. >> using them when driving is inappropriate. but that is where the problem is going to arrive. how far to go? >> i do think the dude is talking about this as well. neil: smaller military and bigger bucks. don't hold your breath thinking that you will get a lot of savings. we will be right back. [ male announcer ] hands were madeor playing.
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neil: yesterday we discovered a story about how american airlines has quieted ended bereavement fares. flyers who need a last minute flight because of a family member's death now have to pay full price, the media is catching up to sorry "l.a. times" we broke the story first, you viewersa the home, this is network you watch to get it first, fewer soldiers, more labels, that sums up where financial priorities lie in washington these days, president moving back to roll troop levels to where they were before world war ii, yet celal kating millions, we super size spending on almost everything else. first on military matter, good
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thing in bad thing? >> remember ronald reagan. strategy of the peace through strength. so you have to say, one of the prime responsibilities of the federal government is to safeguard our security and our freedoms. the way you do that, you say to yourself, what are the problems out there, and how are they evolving in to the future? and what do we need to deal with them effectively. taking advantage of opportunities. then you build our military capacity based on that strategy. you don't go at it the other way, say we only have a nickel now, what can you do with that nickel. you have to fight for the strategy. neil: do you believe as president does or at least defense department now seems to, that we don't need this
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membership soldiers because they are around from the war in afghanistan, and war in iraq. we're unwinding from those areas, we don't need to be staffed to the degree we were? >> that may very well be true. on the other happened, i don't get the feeling that we have started from the sense of strej, th streablg, the world is awash in change, there are threats and ago fabulous opportunities to advance the agenda of freedom, so we have to be ready. neil: secretary, i'm looking at putin, in the eyes of the world, they might not like him but they fear him, increasingly more so than our own president, he has done a lot of sabre rattles whether in ukraine or now, even in cuba. what do you make of what he is up to? how to we respond? >> he is a strong, autocratic
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kind of leader, he actually playing from a weak hand. so, certainly, he needs to see the strig on ou strej on our part, i remember when i was in marine corps bad camp at start of world war ii, sergeant hands me my rifle, and he say, take good care of this rifle, this is your best friend. and remember one thing, never . this rifle at anybody unless you are willing to pull the trigger. no empty threats. it is very important, that we conduct ourselves in such a way that when we say something, people take us at our word, and we know we'll follow-up. i am #r-ding thi reading a book about roosevelt and taft, but teddy, his motto was speak
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softly but carry a big stick. neil: i am wondering too in this age, talking about republicans of this age, that they speak loudly, for example on issues of spend s, but, they don't ever cut spending, a lot of waiting until i guess, keeping their powder dry for november midterm elections hoping then they might take the senate, a bigger majority in the house, and able to respond, but our debt keeps filing up, is that a good strategy? >> the spending problem has to be addressed in terms of the entitlement programs. and you have to face up to them, and social security is easy to fix. really should not be controversial. and our medical health costs are soaring. and it is not that difficult to figure out what to do about it, but we have to get at those things, that is the big spending.
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neil: but we don't do that -- >> i might say also in the military, that a lot of the so-called entitlements there pensions, and health costs, and so on are also spending out of control, the more that happens the more it drives out the fundamental functions of government. neil: to your points on that issue and others, president passed on even minor cost of living adjustment on some benefit programs in his latest budget blueprints, that so-called bargain he made with speaker boehner, and republicans balked on doing anything that would remotely hurt veterans, deemed cruel to them, if we can't make minor adjustments we'll have big problems, right? >> right, we have to be able to do it i remember in the days when i was in office, ronald reagan of president, tip o'neill speaker the house, somebody
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asked roppa ronald reagan if tip was his add ver adversary, he said not after 6:00, they could work, get together, get a by, and work a deal. neil: there was a time. >> thank ou, sir. >> . neil: you think that california is a big old la-lala land, would it bug you less if it were 6 l.a.-l.a. lands. [ doctor ] and in a inical trial versus litor
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how much money do you think you'll need when you retir then weave each person a ribbon to show how many years that ou might last. i was trying to, like, pull it a little further. [ woman ] got me to 70 years old. i'm gog have to rethink this thing. it's hard to imagin how much we'll need for a rerement that could la 3yes or mor so maybe we need to approach things dferently if we want to be ready for a lonr retireme. ♪ neil: all right this is the state of california, right now. very big state, and pretty. this is how california could look not long from now.
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like postwar iraq. from one big massive state to 6 smaller states irk a silicon valley venture capitalist is pushing the plan, collecting signatures to push it for a vote later this year, saying that california is too big with 40 million residents -- chop the state to smaller chunks to get things moving, former california governor gray davis with what he thinks, welcome. >> good to be with you. neil: what do you think? >> a real uphill battle, i think that jerry brown has proven he took a deficit now it is a surplus, rating agents have given us better marks. i think he is making progress in terms of environment and other issues. i question whether we need to devide the state to 6 pieces, but even if we did.
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the u.s. senate would have to approve the admission of 10 new senators. in to their body, diluting their power. why does senator from nevada or alabama or ohio want to give california 10 more senators? neil: his logic does make sense, at least base level, that is that it is a very big state. unwieldy state, in so far as interests and you know even physical connects are very desperate throughout the state, i don't know if that means you have to have 6 different states, but it makes it disfunctional. what do you make of that argument and why the 6 pieces? >> i don't know why the 6 pieces. we have north and south carolina, and north and south dakota, two states is possible, that was tried 1 in late
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1850s, but. there is no way on earth that the u.s. congress is going to dilute its power and give more power to california. as you know they hate anything big, we're the biggest state, we tend to have to fight hard for what we're entitled to. neil: they might welcome instead of one big old pain in the butt, 6 pains in the butt, is this any different, when texas, state wants suss ead. is this different? >> i think that people natural he would like smaller government, government closer to people, i get that we have cities and municipal government, and local government, but you know 6 new states, that is god knows how many new regulations, are they keeps the laws that used to be laws of california just to get water, 2/3 of people in sfral and southern california, water has to go through 3 states, and the national guard does that get
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divided up in 6 ways, there is a lot of problems, trust me, business -- running a business, you have 6 states passing regulations, you could be sure they will be different from one state to the other 92 switching gears,. neil: switches gears, schwarzenegger is aking movies again, how do you get along. >> i like arnold, i have always liked him, he was the good to me, i supported him on a number of things where we shared similar views, i wish him well. i was distraught over his marital difficulties, i hope somehow he and maria reconcile but i have nothing but good thoughts about arnold. neil: amazing, we were a gamee@ througject else man through a
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very -- process, why weren't you not better or were you quietly at home beating up your dog? >> no. look, i got elected twice. i got elected and reelected. we have a lot of positive things done, first greenhouse gas bill in america, reforms in schools, one thing that is meaningful, we were first state to apply the amber alert, that include -- with freeway messaging signs, like 162 important in a row were found. neil: you could follow and monitor it. >> it scared you know what out of the driver, the driver would just pull over, a lot of good things happened. i had my day, arnold had hay-day, now we have governor brown that is life. neil: governor avis, a class act, thank you. >> fox business alert, president
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obama is right. >> corporate profits soar, corporate profits have skyrocketed to an all-time high. >> they have all soared. neil: he is right, why this is great for your bottom line. after this. [ male annncer ] this is karen and jeremiah. they don't know it yet, but they're gonna fall in , get married, have a couple of kids, [ children laughing ] move to the country, and live a long, happy life together where they almost never ght about money. [ dog barks ] because right after they get married, they'll find some financial folks who will talk to them about preparing early for retirement and be able to focus on other thin, like each other, which isn't rocket science. it's just common sense.
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from td ameritrade.
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neil: we knew more layoffs would come, we just didn't know they would be this quickly, j.p. morgan announcing 2000 more will go, they are adding jobes in -- jobs in other areas but still cutbacks could continue, it might have to do with billions in finds they have to pay to uncle sam with the whole
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mortgage mess, what do you think? >> this is a long time coming. talk about the fees and finds to face, but then you can look at regulatory hurdles down the road, right now there is not a lot of business opportunities other than a rising starket, if that goes away, you will see more layoffs down the line. neil: really problem. derrick, is what happening in mortgage business most of the layoffs have been in that area, which slowed markedly, they might are to picks layoffs up? fire more? >> right, look at landscape, with mortgage rates slightly going up, fewer people are refinancing, right now a change in consumer behavior, fewer people are going into banks or doing more on-line banking, atm, the bottom line if a person,
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works for a bank, they need to ask themselves, as part of their own career plans is technology replacing my job any time soon, the bottom line, don't think that the economy is suffering because of the job cuts. changes are occurring. we want to make sure that people are ahead of this. planning for their personal economy. there is important right now. >> quickly, to that points, do you think had note been billions in -- not been for billions in finds the layoffs would be happening. >> i think that the fines are a big piece of it but we're seeing changes and trend in the much am. people need to be aware of that. neil: next up, this. all day on this, you have been hearing a lot about your retirement. tonight look at how big a role wall street should play if your retirement. the president was bashing how much companies were making, you
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say it has their stocks soaring a lot of 401(k)s are soaring too. >> last year, one year ago, the average 401(k) balance was $10 $100 7,000, right now 1 40,000. when you start talking about bashing wall street, you have to think of main street, and retirement plans, you want these companies to thrive on wall street, that is going to help main street america retire soon. neil: derricc? >> i think he makes a great points. people are realizing big and bigger 401(k) balances but it presents its own set of problem, for many, 401(k) is their biggest retirement asset, if they don't know how to manage it, they coold lose it all, go into retire. needing government assistance. key, as part of a financial plan know how the money is invested
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and how much risk to take and when to take it off the table for your specific situation, justtbecause you may see the market red-hot, does not mean it is red-hot for our situation, know your personal economy. >> neil, nobody got rich of the asset allocation, you should concentrate on the big -- s&p 500 companies, you will be fine. neil: thank you, two different views on this, many of you are asking this. >> what is this deal neil in. neil: i'll tell you what's the deal, your questions answered.
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spiriva helps me breathe easier. copd maintenance treatment spiriva handihaler tiotropium bromide inhalation powder does not replace fast-acting inhars for sudden symptoms. tell your doctor if you have kidney problems, glauma, trouble urinating, or an larged prostate. these may worsen with spiriva. discuss all medicines you ta, even eye drops. stop taking spiriva and seek immediate medical help if your breathing suddenly worsens, your throat or tongue swells, you get hives, vision changes or eye pain, or problems passing urine. other sideffects inclu dry mouth and constipation. nothing can reverse copd. spiriva helps me breathe better. does breathing with copd weigh you do? don't it to ask your doctor about spiriva. iwe don't back do.k, we only know one direction: up iwe don't back do.k, so we're up early. up late. thinking up game-changing ideas, like this: dozens of tax free zones across new york state. move here. expand here.
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or sta a new business here... and y no taxes for 10 years. with new jobs, new opportunities and a new tax fr pn. there's up.y one way for your business to go. find out if your business can qualify at neil: in our never ending quest to prove rear always looking after you, a segment devoted to you, and things that matter to
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you, you ask, i answer, it time for, what's the deal, neil? >> what's the deal, neil. >> what's the deal, neil? >> what's the deal, neil. neil: funny you should ask. laura, neil, why do politicians lie, they are not wired to tell you the truth. i have been wondering about something, i have seen a pattern, you are obsessed with money. don't you could too much so. you should coup your lucky stars i am, monitoring every penny, in a health care law i warned you about, you might want to reframe that question! why aren't other tv personalities as obsessed with money. and clara in yahoo!, you strike me as very arrogant. clara, you strike me as very
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rude. and who is your favorite tv personality? me. have you been fired in your life, you are about due. i am not, but i am about to block you from my e-mail server for life, you are about due. in texas, cavuto you should cover the oil markets more, i never hear you discus keystone, all those wacko solar wind types. you should watch the show. victor, you say you like stock for the lang hall, what is the long haul? in ven rally 10 years or more. you always into better than if the same money were in a savings acount. i believe in capitalism, and the power of compounding and of time. pete in, new york, my wife and i want to buy a house but we carry
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a lot of debt, any gooo stocks you can think of? pete, time to wake up. there are no managing imbullets, try the simple magic of paying off high interest rate credit card debt, not paying someone else 18 per or more is the same as paying your 18% or more once it guess away. tl, i have mar gelle marveled over your career, how do you stay so young, fresh, and beat come, i drink the blood of my critics, on the same subject, sam, writes, i'll never forget one of your closing commentary you said that secret to a successful career is never taking success for granted, could you explain that to my kids who are older now. they might appreciate it, happy to, this is for your kids,
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listen to your dad, and watch what he watches, and no matter how smart you think you are, someone else thinks they are smatter, difference is not how much you know, the different how much harder you work with what you know. i know of our illness battle but you never whine 'it you seem successful, don't you think that makes a big difference in our outlook there no doubt, but i tell, i was same guy before a lot of this so-called success, so i figure we have two choices, to be miserable or happy, i choose happy, life is short, who wants to hear you whine? finally, to that very ., from terra in london. with a british acts since, mr. cavuto, what proportion of rich people you cover ares asses? >> i have known rich jerks, and
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poor jerks, the measure of any man or woman is not how they handle the things that go well but how they deal with thin things that do not, the real asses in life are those who dent get thatdon't get that, and appreciate life. >> cahave you o cavuto is the best in the time slot. -- except for maybe, life sports on wednesday, and friday, but, you are the best. even better than o'reilly, unless he has miller or varney on or kelly, i am a rock stoor. al star, you like to come off on tv as warm and fuzzy, but i bit you are just as a condescending yering jerk in real life, you look like the
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kind of guy who would step on a homeless person. kyle, was that you? ralph nader is here tomorrow, i am going to end it there you better be nicer tomorrow, this just me, ralph is note me, lea learn. lou: good evening, you are looking at russian flag which tonight is flying over the parliament building. capital of the ukraine a region. flag raised by gunmen who carried rocket pr rocket propel grenade, and snipe irrifle -- sniper rifles. reports from the ground, that russian fighter jets scr
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